AmCham Trade Committee meeting

Transcription

1 AmCham Trade Committee meeting Business in Africa A fundamental building block for positioning the continent as a key role player for international trade and investment Lynette Chen CEO, NEPAD Business Foundation 6 February 2014 Unlocking African Potential

2 Presentation Outline NEPAD Business Foundation Overview Importance of Trade in Africa Role of the PICI in Trade and Infrastructure Development Role of PIDA in Trade and Infrastructure Development Role of the Afri-ID in Trade and Infrastructure Development Q&A/Open discussion

3 Inception Feasibility Bankability Implementation NEPAD Business Foundation Overview Role of the NEPAD Business Foundation Who we are Non Profit Organisation formed to achieve the New Partnership for Africa s Developments (NEPAD) vision Patrons: Graca Machel and Nkosana Moyo What makes us unique. African based NPO with cross border mandate Neutral Multi-stakeholder party Relationships with key African Gvt s Signed MOUs with SADC PPP and the NEPAD Agency Physical presence in multiple African countries Public Sector Private Sector GVT s DFI s Donors GAP PIDA SADC PPP PICI

4 NEPAD Business Foundation Overview NBF Interactions With Key Stakeholders The NBF facilitates private sector investment as a mechanism to achieve social and economic development External Stakeholders Regional Economic Communities (RECs) AU/NEPAD Structures Assembly of the African Union (AU) NBG/Continental chambers of commerce NEPAD HSGOC Development agencies/ DFIs / Donor agencies NEPAD Steering Committee African governments NEPAD Planning and Coordinating Agency Private sector companies that inform the strategy and function of the NBF The NEPAD Business Foundation (NBF) is a private sector funded, Independent Non Profit Organisation (NPO) geared towards supporting NEPAD Agency goals by mobilising private sector

5 Notes: OPSCO - Operations Committee, ARC: Audit & Risk Committee, NBF: NEPAD Business Foundation NBF Board NAME & SURNAME DESIGNATION ORGANIZATION NBF Board NBF OPSCO NBF ARC Mr. Stanley Subramoney Ms. Futhi Mtoba Deputy CEO, Southern Africa Senior Partner, Southern Africa NBF Chairman OPSCO Member - NBF Vice- Chairperson OPSCO Member ARC Member Dr. Reuel Khoza Chairman Board Member OPSCO Member - Mr. Geoff Rothschild Mr. Patrick Kabuya Head: Government and International Affairs Senior Financial Management Specialist Board Member Chairman of OPSCO Non- Director - Chairman of ARC - Prof. Wiseman Nkuhlu - Board member - - Mr. Cas Coovadia Managing Director Board member ARC Member Mr. Mark Williams - Board Member OPSCO Member - Mr. Roelof van Tonder Business Development Manager Board Member - - Ms. Khanyisile Kweyama Executive Director Board Member - - Mr. Sean Murphy Divisional Manager: Sub-Saharan Africa Board Member - - Ms. Lynette Chen CEO Executive Director OPSCO Member ARC Member

6 NEPAD Business Foundation Overview NBF Programme Focus Areas Strategic Water Partnership Network South Africa

7 Importance of Trade in Africa Competing with the World We live in an increasingly globalised world, where African countries need to reap the benefits of economies of scale Lower Cost of Production Increased Competitiveness Stronger Negotiating Power Increased Exports Bringing the world to Africa and taking Africa to the world at the lowest cost can be achieved through increased regional integration

8 Role of PIDA in Trade and Infrastructure Development Infrastructure Challenges in Africa Infrastructure Challenges Inter-regional trade of less than 10% 30 out of Africa's 55 countries endure regular power outages Low access to water and basic sanitation services across the continent INFRASTRUCTURE COST $93 Billion p/a Poor and under-developed transportation, energy, water and social infrastructure Difficult and uncertain regulatory environments in African countries impede development Regulatory policies and standards are inconsistent from country to country, and/or Regulatory policies are non-existent altogether in some instances Funding deficit $31 Billion p/a Capacity Constraints Poorly developed projects - shortage of bankable projects paradox Delays/blockages e.g. at borders, project contracting conclusion, etc. A myriad of infrastructure challenges currently hamper growth in inter-regional trade and economic development across the African continent

9 NEPAD Programme for Infrastructure Development for Africa (PIDA) PICI low-hanging projects underpinned by a political process NGR: Nigeria-Algeria Gas Pipeline Project SEN: Dakar-Bamako-Niamey- Ndjamena-Djibouti Multi-modal corridor Egypt: Establishment of Navigational Route: LV to Mediterranean sea along the Nile River Dakar-Bamako Rail ALG: Algeria-Nigeria Optic Fibre Project; Missing Links of the TSH along the optic fibre project RC: Kinshasa-Brazzaville Road- Rail Bridge RW: ICT BB: Unblocking of bottlenecks at regional and continental levels Sources: NEPAD Agency, African Union SA: North-South Multi-modal Corridor

10 Role of PIDA in Trade and Infrastructure Development Why PIDA? STAP MLTSF PIDA AAP PICI PIDA PAP Sources: NEPAD Agency, African Union NEPAD infrastructure programme

11 Role of PIDA in Trade and Infrastructure Development What is PIDA? PICI PIDA PAP PIDA=NEPAD=PIDA Sources: NEPAD Agency, African Union

12 Role of PIDA in Trade and Infrastructure Development PIDA Energy Projects Energy 15 items USD 40 bn The energy infrastructure program focuses on major hydroelectric projects and interconnects the power pools to meet the forecast increase in demand. One regional petroleum products pipeline is also included. Sources: NEPAD Agency, African Union

13 Role of PIDA in Trade and Infrastructure Development PIDA Transport Projects Transport 24 items USD 25 bn The transport program links the major production and consumption centers, provides connectivity among the major cities, defines the best hub ports and railway routes, and opens the land-locked countries to improved regional and continental trade. Sources: NEPAD Agency, African Union

14 Role of PIDA in Trade and Infrastructure Development PIDA Water Projects Water, 9 items USD 2 bn The transboundary water program targets the development of multipurpose dams and builds the capacity of Africa s lake and river basin organizations so that they can plan and develop hydraulic infrastructure. The program would also help address the looming food deficit. Sources: NEPAD Agency, African Union

15 Outcomes Mission Vision Role of the Afri-ID in Trade and Infrastructure Development Afri-ID Vision, Mission and Outcomes An African continent that is enabled by high quality infrastructure that promotes regional integration, intra-africa and international trade and development Establish a multi-stakeholder platform where private sector and public sector partners cooperate in the development of regionally integrated infrastructure in Africa Accelerate infrastructure development and implementation of projects through focused research, relationship linkages and a methodical facilitation process with private sector The aim of the Afri-ID is to accelerate the development of investment and commercial infrastructure opportunities through private sector engagement

16 Role of the Afri-ID in Trade and Infrastructure Development Afri-ID Project Selection Process Project list screening and forum outcomes (27 August 2013) Transversal Criteria: Political support Private sector involvement Project readiness Cross border impact. 665 projects 126 Projects African project list: PIDA Tripartite SADC 3 PPP Sectorial criteria: Rail, Port, Pipeline Current Afri-ID Funding Members 22 projects North South Corridor + Forum Outcomes Final Selection 5 projects Afri-ID Steering committee

17 Afri-ID Projects 2 Revitalization of the Zambia- South Africa Rail link in order to increase cargo moving on the North South Corridor 4 Revitalization of the Tanzania - South Africa Rail Corridor link in order to increase cargo moving on the North South corridor 5 Development of the port of Dar es Salaam to enable increased and more efficient handling of cargo moving onto and off the North - South corridor 1 Establishment of a regional rolling stock leasing pool to allow operators on the North - South corridor access to much needed locomotives and wagons to move more cargo on the rail network Rail corridor Key 3 Development of the Mtwara port and EDZ in order to ease congestion on Dar es Salaam port and due to abundant coal and gas resources on either side of the Mtwara corridor

18 Your Contacts Lynette Chen CEO- NEPAD Business Foundation Tel: Fax: E mail: Lynette.chen@thenbf.co.za Kudzanayi Bangure Project Manager - Africa Infrastructure Desk Tel: Fax: E mail: Kudzanayi.bangure@thenbf.co.za Laetitia Habchi Programme Manager Africa Infrastructure Desk Tel: Fax: E mail: Laetitia.habchi@thenbf.co.za